Two New Bubbles Put U.S. Economy at Risk

Former Fed Chair Alan Greenspan just warned about these new bubbles in the economy, saying it’s no longer a matter of if, but when the next one will pop. Here’s what you need to know now…

Peter Reagan, May 31, 2018

On January 31, two days before the stock market’s recent sell off, former Fed Chair Alan Greenspan warned:

“I think there are two bubbles. We have a stock market bubble and we have a bond market bubble.”

Greenspan believes the ever-increasing government deficit is behind these bubbles, pointing out that the federal debt to GDP ratio is greater now than it was during World War II.

Greenspan also revealed that he doesn’t have confidence in when this situation will be fixed:

“I think we’re getting to the point now where the breakout is going to be on the inflation upside. The only question is when.“

Other Experts See it Too

Greenspan isn’t alone in his concerns. William White, former Chief Economist for the Bank for International Settlements, said he believes that we’re in an even more dangerous situation today than we were at the peak of the last bubble. Meanwhile, Peter Schiff says:

“The impending economic collapse is hidden from most. People only see a rising stock market, not the negative underlying factors that will cause the whole system to crash.”

Could a downturn be just around the corner?

How to Hedge Against the Risk

With the stock market seemingly on the brink, and financial experts voicing their concerns, it’s no longer a matter of if, but when the bubble will pop. And when it does, do you want your IRA or 401(k) exposed during the crash?

Don’t leave your hard earned savings exposed. That’s why so many have already moved their savings into something that’s proved, time and time again, to protect against economic uncertainty: physical gold.